Large negative effect for Switzerland after franc cap ends: UBS
ZURICH (Reuters) - The Swiss National Bank's decision to scrap its 1.20 per euro cap on the Swiss franc will have a large negative impact on the Swiss economy, the Chief Investment Officer of Swiss bank UBS said on Thursday.
The direct effect on Swiss goods exporters is estimated to be about 5 billion Swiss francs, equivalent to -0.7 percent of Swiss Gross Domestic Product, Mark Haefele said in a statement.
The Swiss National Bank unexpectedly scrapped its cap on the franc on Thursday, sending the safe-haven currency crashing through the 1.20 per euro limit it set more than three years ago.
(Reporting by Alice Baghdjian)
